Nigerian equities strengthened over the past few sessions after the central bank on Tuesday said it would adopt a flexible exchange rate policy, ending currency controls that fettered the equity market, Reuters reported.

The Nigerian naira currency was overvalued due to a pegged regime, which weighed on growth and investment. Foreign investors saw a devaluation as inevitable and previously kept to the sidelines or have been selling shares.

[related_stories]

Lanre Buluro, an analyst with broker Primera Africa Securities Ltd., said that most foreigners have waited until the central bank to make the changes and loosen capital controls before jumping into the market.

Central Bank Governor Godwin Emefiele said details of a new policy were still being worked out and would be released “in the coming days,” Bloomberg reported.